Verizon reports strong Q3 financial results, increases guidance

Company's strength and resilience deliver increased cash flow, wireless service revenue growth, and the most Fios Internet net adds since 4Q 2014

3Q 2020 highlights 

Consolidated:

• $1.05 in earnings per share (EPS), compared with $1.25 in 3Q 2019; adjusted EPS (non-GAAP), excluding a special item, of $1.25, compared with $1.25 in 3Q 2019.
• Operating revenue decline of 4.1 percent from third-quarter 2019.
• Year-to-date cash flow from operations of $32.5 billion, an increase of $5.7 billion year over year.
  

Consumer:

• Total revenue of $21.7 billion, a decrease of 4.3 percent year over year.
• 136,000 retail postpaid net additions, including 142,000 phone net additions and 258,000 postpaid smartphone net additions.
• Total retail postpaid churn of 0.80 percent, and retail postpaid phone churn of 0.63 percent.
• 139,000 Fios Internet net additions, an increase from 30,000 Fios Internet net additions in third-quarter 2019, and 144,000 Fios Internet net additions across Consumer and Business, the most since fourth-quarter 2014.

Business:

• Total revenue of $7.7 billion, a decrease of 1.7 percent year over year.
• 417,000 retail postpaid net additions, including 141,000 phone net additions.
• Total retail postpaid churn of 1.19 percent, and retail postpaid phone churn of 0.96 percent.
  

Total Wireless:

• Total wireless service revenue of $16.4 billion, a 0.3 percent increase year over year.
• 553,000 retail postpaid net additions, including 283,000 phone net additions and 428,000 postpaid smartphone net additions.
• Total retail postpaid churn of 0.89 percent, and retail postpaid phone churn of 0.69 percent.
  

NEW YORK, Oct. 21, 2020 (GLOBE NEWSWIRE) --  Verizon Communications Inc. (NYSE, Nasdaq: VZ) reported strong third-quarter results today and revised earnings guidance upward for the year. The company's performance was highlighted by increases in wireless service revenue and total Fios Internet net additions.

“We continue to demonstrate our strength and resilience by delivering very strong third quarter financial results,” said Verizon Chairman and CEO Hans Vestberg. “We are energized by the transformational technology that our 5G Ultra Wideband and 5G nationwide bring. Our purpose-driven culture paired with our network leadership will shape the future, for the better."

For third-quarter 2020, Verizon reported EPS of $1.05, compared with $1.25 in third-quarter 2019. On an adjusted basis (non-GAAP), third-quarter 2020 EPS, excluding a special item, was $1.25, compared with adjusted EPS of $1.25 in third-quarter 2019. The company estimates that third-quarter 2020 EPS and adjusted EPS included approximately negative 5 cents of COVID-19-related net impacts. Third-quarter 2020 EPS included a net pre-tax charge of about $1.1 billion related to a mark-to-market adjustment for pension liabilities.